In recent weeks the fear of a sharp correction in emerging market financial conditions in reaction to the Fed’s exit from its extraordinary monetary policy have caused consternation among investors and emerging market policy makers. But in the short term, fears of a potential mass exodus of investment from emerging markets appear exaggerated. While the large developing economies across various regions will continue to have relatively weak growth in 2014, overall global conditions will be improved by an uptick in the recovery of developed economies from the United States to Europe and Japan.

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China Center Publications
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